Sky and our local channels have to compete with the likes of this popular global internet TV freebie..... http://projectfree.tv/
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Sky and our local channels have to compete with the likes of this popular global internet TV freebie..... http://projectfree.tv/
Agree. And with the Fibre to the door, bandwidth (in NZ atleast) will no longer be an issue.
The key for sky is retaining its exclusive rights to content in NZ. Once they lose that, or a Regulator makes them onsell, then their dominance will end.
If telecom could get that content and stream it to their own box (eg. how Telstraclear does in Wellington), then that would be a deal changer. Telecom must be wondering how to get that content.
[QUOTE=CJ;395918].
The key for sky is retaining its exclusive rights to content in NZ. Once they lose that, or a Regulator makes them onsell, then their dominance will end.
I agree it is all about content.
My home network fully integrated, i.e. TV is connected to network through both playstation, xbox, apple tv, which in turn are connected to our stereos, pc's and macs around the house. The family can watch and move any content between almost any device.
We have just upgraded to fibre with Orcon on 100Mb connection all you can eat, however if we choose to buy a movie over apple tv and not go to the store, its still a 4gb file to download, and it still takes 15-30mins to download. Orcon still has to access overseas bandwidth to download my content, which is the constraint. The benefit of fibre is that Sky may not be showing the movie I want (unlikely but a possibility). With My Sky you can watch what you want when you want. Sky owns the content, sure, but they own the distribution too, they have invested well in that capability like Telstra has in Wellington, as CJ mentioned.
Telecom is no longer in that position as they don't own Chorus anymore. I doubt the comcom will find anything to pin against SKT, and the status quo will hold. iSky is also very competitive compared to apple TV etc, and Sky have continued to adapt to different forms of media.
The news corp exit will provide good liquidity in the shares going forward, while growth is slowing, the gross yield is looking really attractive at 10%+ below $5.
I have also taken a chunk from the sell down. May not be forever, but at the moment and medium term, still nothing beats My Sky+ HDI. Good yield and growth not over yet IMHO. Not a huge discount but also cum the 12c dividend. Sometimes I need a bit of a nudge to get into a stock and this was it.
Will be interesting to see if the Fairfax holding is sold at a discount to SP...thats a lot of shares to unload..surely should drive price down..one would think.